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Herrera and Reid were cleared by the probe, the FEC said.
"The investigation concluded that the recipients of the contributions were not aware of the actual source of the funds," the federal commission's statement said.
Reid will give the money to the government as ordered, said a spokesman, Jim Manley.
"As the FEC has stated, at the time the contributions were received, the recipients had no reason to believe they were improper," Manley said.
However, when asked whether Reid knew the contributions came from a common source when he accepted them, Manley said, "I don't know the answer to that."
The donations to Reid apparently were not part of the scope of the original complaint, which was filed against Herrera's campaign. Reid was not up for re-election in 2002, but members of Congress constantly collect funds for their war chests.
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